Capital Intelligence Ratings, on Thursday, announced it has affirmed the ratings of the Tunis-based Banque de Tunisie (BT).
BT’s Financial Strength Rating (FSR) is maintained at ‘BB+’, and is supported by good capital adequacy and very good profitability, the ratings agency said.
It is constrained by tight liquidity, a high NPL ratio and only adequate coverage. The Outlook for the FSR remains at ‘Stable’, it added.
However, any further tightening in liquidity or weakening in loan asset quality would put downward pressure on the FSR. BT’s Long- and Short-Term Foreign Currency Ratings (FCRs) are affirmed at ‘BB’ and ‘B’, respectively and are at CI Ratings’ internal sovereign assessment level.
The Outlook for the FCRs is ‘Stable’. The Support Rating is affirmed at ‘3’, reflecting a reasonable likelihood of support given the Bank’s market share and the large stake held by Crédit Mutuel-CIC, CI also pointed out.